Vacation rentals throughout the state were less than 51% occupied last month, according to data released this week by the Hawaii Tourism Authority and the state Department of Business, Economic Development & Tourism.
According to the monthly Hawaii Vacation Rental Performance Report, vacation rental occupancy fell 20 percentage points from 71% in May 2019. Compared to last May, when units were nearly 54%, the fall was less dramatic, down just 3 percentage points.
Unit night supply fell 7% compared to May 2019, to 864,400 nights last month, and demand dropped nearly 34% to 439,400 unit nights. Compared to last year, supply increased 4% and demand dipped 1%.
Average daily rate, or ADR, jumped 56% from May 2019, from $196 to $306, according to the report. However, it is worth noting that, according to the Bureau of Labor Statistics’ inflation calculator, $196 in 2019 is the equivalent of $244 in 2024 dollars.
Compared to May 2023, when ADR was $292, it was a 5% increase. According to the inflation calculator, $292 last year is the equivalent of $301 in 2024.
For comparison, hotels were 71% occupied last month, with an ADR of $342, according to the most recent hotel performance report.
The report defines vacation rentals as “the use of a rental house, condominium unit, private room in a private home, or shared room/space in a private home,” but does not differentiate between permitted and unpermitted properties.
The report utilizes data compiled by Lighthouse Intelligence, Ltd. and is based on properties that are listed on Airbnb, Booking.com and HomeAway. This month’s report includes data for 34,380 units and 59,376 bedrooms.
The report also features island-by-island data, and all islands reported a decline in occupancy compared to 2019. Hawaii Island had the lowest occupancy at 44%, a 17 percentage point drop from 2019, and Maui County had the sharpest decline of 26 percentage points, for an occupancy rate of 49.5%.
Looking at island occupancy data compared to last year, occupancy on Kauai, Oahu and Hawaii Island were relatively flat, and Maui County reported an 11 percentage point drop.
Kauai had the highest ADR for the month at $386, and Hawaii Island had the lowest at $247.
Year-to-date occupancy fell 27 percentage points for the first five months of the year compared the same period in 2019, to about 56%. Compared to last year, year-to-date occupancy fell 7 percentage points. ADR year-to-date was $325.
